Report reveals inheritance concerns

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A recent study indicates that a third of parents are not willing to offer an inheritance or financial aid to their married offspring due to the fear of divorce.
 
 
The report by Investec Investment and Wealth stated that 30% of adults were unwilling to pass on money to their children due to the risk of money leaving the family through divorce.
 
So you dont disinherit your nearest and dearest, you need to plan accordingly. In this era of the ‘blended’ family, second and sometimes third marriages, most of us want what we have worked hard to achieve to remain ‘in the family’.
 
Of the 1,000 parents surveyed, 12% of their children had parted from their spouse and an additional 14% stated unlike their own marriage they had little or no confidence that their children’s would last “a lifetime”.
 
Extravagant spending was also considered a risk factor, so the Ferrari that the youngest son has planned would have to go on hold if the bank of mum and dad did not pay up.  Some 14% of those surveyed believed that an inheritance would lessen the incentive for their children to “work hard and earn their own money”.
 
In order to mitigate these risks many parents said they preferred to provide smaller financial gifts to aid day-to-day living, as opposed to larger lump sums, or even skip a generation and bequeath assets to grandchildren.
 
One in seven stated that they were considering a discretionary trust, something which could be a “useful means to protect family wealth from future divorce within a family.
 
 
If you have any concerns in this area you can contact Daniel Prince about a Will or a Family Matter you can email him at daniel.prince@pearsonlegal.co.uk
 
 
 
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A recent study indicates that a third of parents are not willing to offer an inheritance or financial aid to their married offspring due to the fear of divorce.
 
 
The report by Investec Investment and Wealth stated that 30% of adults were unwilling to pass on money to their children due to the risk of money leaving the family through divorce.
 
So you dont disinherit your nearest and dearest, you need to plan accordingly. In this era of the ‘blended’ family, second and sometimes third marriages, most of us want what we have worked hard to achieve to remain ‘in the family’.
 
Of the 1,000 parents surveyed, 12% of their children had parted from their spouse and an additional 14% stated unlike their own marriage they had little or no confidence that their children’s would last “a lifetime”.
 
Extravagant spending was also considered a risk factor, so the Ferrari that the youngest son has planned would have to go on hold if the bank of mum and dad did not pay up.  Some 14% of those surveyed believed that an inheritance would lessen the incentive for their children to “work hard and earn their own money”.
 
In order to mitigate these risks many parents said they preferred to provide smaller financial gifts to aid day-to-day living, as opposed to larger lump sums, or even skip a generation and bequeath assets to grandchildren.
 
One in seven stated that they were considering a discretionary trust, something which could be a “useful means to protect family wealth from future divorce within a family.
 
 
If you have any concerns in this area you can contact Daniel Prince about a Will or a Family Matter you can email him at This email address is being protected from spambots. You need JavaScript enabled to view it.
 
 
 
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